By Kiran Kaur Sidhu December 21, 2019
Digital News Asia
- Pikom describes US$675mil in online banking sales as signal of inflection point
- Inclusion of Taiwan as first country pavilion paving way for regional participation
Originally created in 2014 to establish, and accelerate, Malaysia’s e-commerce ecosystem, the 2019 edition of #MYCYBERSALE opted for a wider approach that saw the event become the biggest edition yet with record sales of US$770 million (RM3.19 billion) during the of one week period from 27th Sept to 3rd Oct. (some merchants extended the sale to 10 days)
The amount consisted of US$94.6 million (RM392 million) in gross-merchandise value (GMV) from 1,510 registered merchants and US$675 million (RM2.8 billion) GMV generated from PayNet’s (Payment Networks Malaysia Sdn Bhd) 30 bank members and their total 21,000 merchants.
[RM1 = US$0.24]
“This year, Pikom included two major partners, FPX as Title Sponsor and Taiwan as the first-ever Country Participant for the #MYCYBERSALE series. Their participation, along with our other partners, made this the biggest online eCommerce event we’ve put together to-date,” enthused Danny Lee, Pikom Chairman. This year’s event was officially branded as FPX #MYCYBERSALE ASIA.
FPX is one of the services offered by PayNet which is a direct-to-bank internet payment gateway, which facilitates internet payments and e-commerce purchases using savings and current accounts.
“We are proud to collaborate with Pikom. With over 21,000 of our merchants that include top 10 e-commerce retailers and platforms, the FPX #MYCYBERSALE garnered over RM2.8 billion GMV sales. The customers’ convenience of paying for their purchases using FPX and the many functionalities which merchants enjoy are why it is the clear choice of payment for many online merchants and e-commerce customers.” said Peter Schiesser, Group CEO of PayNet.
Taiwan’s Commerce Development Research Institute (CDRI) made its first foray into #MYCYBERSALE by bringing in more than 60 Taiwanese merchants – representing 2,400 brands, and selling over 35,000 products within that 1 week period with its members registering RM1.8 million GMV sales.
On a direct comparison, versus last year, merchant sales for the campaign of RM392 million only rose RM2 million versus the RM390 million sales in 2018. Pikom explains that this was simply because their focus this year in promoting the event was on the new partnership created with PayNet.
“This year we put a focus on online banking transactions through our partnership with PayNet. We are happy to note that RM2.8 billion of online banking sales were recorded through the sales period proving that online banking e-commerce transactions have achieved an inflection point in Malaysia,” declared Ganesh Kumar Bangah, Chair of PIKOM’s E-Commerce Chapter and PIKOM Immediate Past Chairman.
Export GMV grew by 38% which was contributed from transactions from the travel, fashion and entertainment categories serving buyers from 35 countries. Malaysia Digital Economy Corporation (MDEC) described this as a good indication that merchants are seeing the importance of cross-border e-commerce.
“The remarkable achievements of this year’s #MYCYBERSALE further reinforced the fact that Malaysia’s e-commerce has gone very far on all fronts. This includes major innovations and digitalisation taking place in the marketplace, revenue and export value generation, and participation from both consumers and merchants,” added Ng Wan Peng, chief operating officer of MDEC.
The leading category for local GMV sales is travel followed by the fashion segment and health & beauty. As for breakdown of sales by local and overseas buyers, Pikom shared that about RM68 million was generated from overseas buyers.